Constellation Brands Secures $500M Term Loan Agreement

Constellation Brands ( (STZ) ) has shared an announcement.

On May 9, 2025, Constellation Brands entered into a Term Loan Credit Agreement with Bank of America and other lenders, allowing for a $500 million loan to be drawn in up to two parts. The company plans to use the funds for general corporate purposes, including debt repayment. The agreement includes various covenants and conditions similar to its existing credit facilities, and it is set to mature two years after the initial borrowing. This financial maneuver is expected to provide Constellation Brands with increased flexibility in managing its financial commitments and strategic initiatives.

Spark’s Take on STZ Stock

According to Spark, TipRanks’ AI Analyst, STZ is a Neutral.

Constellation Brands’ strong revenue growth and cash flow are offset by profitability challenges and potential overvaluation concerns. Strategic initiatives and shareholder-focused actions are promising, but macroeconomic uncertainties and revised sales forecasts pose risks.

To see Spark’s full report on STZ stock, click here.

More about Constellation Brands

Constellation Brands, Inc. operates in the beverage alcohol industry, primarily producing and marketing beer, wine, and spirits. The company focuses on premium brands and has a significant market presence in the United States and other international markets.

Average Trading Volume: 2,582,698

Technical Sentiment Signal: Sell

Current Market Cap: $33.79B

For a thorough assessment of STZ stock, go to TipRanks’ Stock Analysis page.